Ensemble Capital Management, an investment management company, has released its third quarter 2022 investor letter. A copy of it can be downloaded here. In the third quarter, the strategy outperformed its benchmark, the S&P 500, after three consecutive quarters. The strategy fell 2.6% compared to a 4.9% decline for the S&P 500 Index in the quarter. In addition, please review the fund’s top five holdings to find out its best picks in 2022.
Ensemble Capital discussed stocks like The Charles Schwab Corporation (NYSE:SCHW) in a Q3 2022 investor letter. Headquartered in Westlake, Texas, Charles Schwab Corporation (NYSE:SCHW) is a financial services company. On October 17, 2022, Charles Schwab Corporation (NYSE:SCHW) stock closed at $67.43 per share. One month return of The Charles Schwab Corporation (NYSE:SCHW) is -8.07% and its shares have lost 17.30% of their value over the past 52 weeks. Charles Schwab Corporation (NYSE:SCHW) has a market capitalization of $127.921 billion.
Here’s what Ensemble Capital had to say specifically about The Charles Schwab Corporation (NYSE:SCHW) in its Q3 2022 investor letter:
“The Charles Schwab Corporation (NYSE:SCHW) (+14.1%): Although the value of the financial assets Schwab holds for clients has come under significant pressure this year, clients are also holding more cash and Schwab earns more income for any given level of client cash as interest increases. In the company focus section below, we offer detailed thoughts on the company.
As we’ve discussed before, Schwab’s core value proposition is about helping its customers, both individual investors and independent registered investment advisors like Ensemble, invest wisely and efficiently in the capital markets . What may not be as familiar to everyone is how Schwab’s business model has changed over the years as its offerings and capabilities have evolved, initially driven by trading commissions, then third-party distribution fees. party mutual funds, and later asset-based fees on its own proprietary mutual funds and ETFs, and more recently net interest income earned on its customers’ cash holdings sitting on Schwab’s balance sheet.
With each of these revenue transformations, Schwab has accelerated the arc of industry trends that use technology and scale to commoditize each of the previous revenue sources. In doing so, Schwab has grown its range of services and revenue to new, more profitable levels built from its ability to drive operating costs at scale while offering superior value and service to millions of customers. in relation to competitors…” (Click here to read full text)
Copyright: stokkete / 123RF Stock Photo
Charles Schwab Corporation (NYSE:SCHW) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. According to our database, 68 hedge fund portfolios held The Charles Schwab Corporation (NYSE:SCHW) at the end of the second quarter, up from 78 last quarter.
We discussed The Charles Schwab Corporation (NYSE:SCHW) in another article and shared stock picks in The Motley Fool’s 1623 Capital’s latest portfolio. In addition, please see our hedge fund investor letters Q3 2022 page for more investor letters from hedge funds and other leading investors.
Suggested Articles:
Disclosure: None. This article was originally published on Insider Monkey.